IDEAS home Printed from
   My bibliography  Save this paper

Administrative burdens and dairy industry competitiveness


  • Bremmers, Harry J.
  • Poppe, Krijn J.
  • Wijnands, Jo H.M.
  • van der Meulen, Bernd M.J.


The goal of this paper is to assess the effect of regulatory burdens in the European dairy industry on its competitiveness. A theoretical foundation is provided by transaction cost economics and total quality management insights. The effects of legislation on administrative requirements and competitiveness are supposed to be mediated by impacts on innovativeness, company strategy, food safety system availability, as well as the available information & communication capabilities. We will connect to previous research (Wijnands et al., 2007) and the findings therein. Four sub-questions are addressed: • what is the relationship between administrative burdens, innovation and competitiveness? • what is the relationship between administrative burdens, food safety & quality system deployment and competitiveness? • what is the relationship between administrative burdens, food labelling requirements and competitiveness? • what is the relationship between administrative burdens, supply chain transparency and competitiveness? In addition to the theoretical framework presented earlier in Bremmers et al., 2008, this paper contains the first results of a survey in the European dairy industry. They are combined with the proceeds from a literature search. The results show that (Q1) especially product innovation is negatively impacted by administrative burdens. Food safety and quality systems (Q2) serve to provide a level playing field in Europe. They would be installed also if no legal requirements would enforce them, because clients ask for it, so that administrative burdens could easily be attributed to business strategy rather than legal obligations. To reduce administrative burdens, we advice to integrate food safety and quality requirements is necessary. It would reduce monitoring and reporting costs, both for private as well as public parties. Food labeling (Q3) (a ‘made in Europe’ origin marking) could work contraproductive with respect to the competitive position of dairy firms and will have an increase of administrative burdens as a net-effect. And last but not least (Q4), increased chain transparency (mentioning the name of intermediary producers on the end-product package) will accelerate administrative burdens, but will only be beneficial for SMEs with a differentiated product. Commodity-producers in the dairy industry which only follow a cost strategy will gradually merge and/or disappear.

Suggested Citation

  • Bremmers, Harry J. & Poppe, Krijn J. & Wijnands, Jo H.M. & van der Meulen, Bernd M.J., 2008. "Administrative burdens and dairy industry competitiveness," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44275, European Association of Agricultural Economists.
  • Handle: RePEc:ags:eaae08:44275

    Download full text from publisher

    File URL:
    Download Restriction: no

    More about this item


    dairy industry; competitiveness; administrative burdens; food safety; labelling; Livestock Production/Industries;

    NEP fields

    This paper has been announced in the following NEP Reports:


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:eaae08:44275. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.